"Australia's Qantas Airways and British Airways have called off talks for a USD$6.4 billion merger that analysts said could have helped transform an industry grappling with falling demand and volatile fuel prices.

Qantas and BA announced the end of talks in a three-paragraph statement issued to the Australian and London stock markets on Thursday, saying they could not agree on key terms for a deal.

"Despite the potential longer-term benefits for Qantas and BA, the airlines have not been able to come to an agreement over the key terms of the merger, at this time," Qantas said.

Qantas chief executive Alan Joyce had warned last week that the merger faced major hurdles and would only go ahead if Qantas could secure major revenue and cost benefits. He also lamented the fact the talks had been leaked and forced out into the open.

A marriage of Qantas and BA faced several big challenges, not least the ownership split of the combined business, which was proposed to be formed through a dual-listed merger whereby the two firms would have kept their existing listings but be managed as one."

"Malaysia-based budget airline AirAsia announced on Tuesday that it would be offering 100,000 free tickets to Thailand as part of a special marketing effort to support the tourism in that country, which has suffered from recent anti-government demonstrations.

The popular low-cost airline said that it was collaborating with Thailand’s tourism authority to help bring tourists and business travellers back to the country by “reinstating the core message that it is now safe to travel back to the Land of Smiles.”

Under its marketing campaign called “Get Your Baht To Thailand,” which is a play on the unit of Thailand’s currency, AirAsia will be giving away 100,000 free tickets on flights to Bangkok from Cambodia, China, Indonesia, Myanmar, Singapore and Vietnam, as well as on flights within the country.

Passengers will be responsible for paying only taxes and administrative fees. In November, AirAsia removed all fuel surcharges from its flights"

Westjet airlines would launch new seasonal non stop services from San Francisco andSan Diego to Calgary in june. San Diego flights will starts on june 1st and San Francisco flights begin June 2nd.Discount airline WestJet will sell you a seat on San Francisco flights to Calgary for $125, each-way; $165 is the price from San Diego to Calgary. Both fares are introductory deals and don't include taxes or fees.

"British Airways and Virgin Atlantic Airlines are cutting their fuel surcharges because of the reducing price of oil, the companies said Wednesday.

The reductions apply on tickets purchased beginning Thursday, and the airlines are not offering refunds to customers who booked flights earlier at the higher price.

British Airways is reducing the charge on world traveler class flights of nine hours or longer from 96 pounds ($147) to 66 pounds. For first class and club class passengers on those long-haul flights, the surcharge will be reduced by 30 pounds to 85 pounds.

Surcharges on domestic and European flights are being cut by 25%, BA said.

Virgin also cut its surcharge on long-haul economy flights from 96 pounds to 66 pounds, and other reductions were similar to BA's moves."